Unlocking Tax Savings: How Architect Owners Can Benefit from Tax Credit Incentives
Kuya William Peetoom, City Commissioner, Health Ins. Agent (CA)
City Commissioner, Senior Affairs | Health Ins. Agent (CA) ?? Champion for DBE Suppliers - Transformational Advocate for Net Positive Profit Results. Let's talk Business Growth, Development & Strategic Tax Savings.
Discover How These Tax Incentives Can Help You Save Money?and Grow Your Business
As an architect owner, you always look for ways to optimize your business and maximize your resources. One area that you may not have considered exploring is tax incentives. Specifically, the Research and Development (R&D) tax credit and the Employment Retention Tax Credit (ERTC) can provide significant tax savings for your company. The R&D tax credit encourages businesses to invest in research and development activities, contributing to innovation and growth. As an architect, you may not immediately think of yourself as a research and development company, but many of the activities you engage in can qualify. For example, if you are working on new building materials or techniques, designing green buildings, or developing software to support your work, you may be eligible for the R&D tax credit. The credit is calculated as a percentage of your qualified research expenses and can be used to offset federal income taxes.
The ERTC, conversely, is a tax credit introduced in response to the COVID-19 pandemic to encourage businesses to retain their employees. This credit can provide up to $7,000 per employee per quarter to businesses that meet specific criteria. If your business has experienced a decline in revenue due to the pandemic, you may be eligible for the ERTC.
Together, these tax incentives can provide significant savings for your business. In fact, according to a study by the National Bureau of Economic Research, firms that claim the R&D tax credit experience an average increase in cash flow of $1.70 for every dollar of credit claimed. And for the ERTC, a recent survey found that over 50% of respondents said the credit helped them avoid layoffs or furloughs during the pandemic.
Optimize your tax strategy and take advantage of the R&D tax credit and ERTC,
don't hesitate to contact a qualified tax professional who can help you navigate the process and maximize your savings.
To learn more about these tax incentives and how they can benefit your business, I invite you to watch a 2-minute explainer video at?https://youtu.be/8JxmuvHPZEI. This video will provide a quick overview of the R&D tax credit and ERTC and help you understand how they can apply to your business.
Take the first step towards optimizing your tax strategy and contact a qualified tax professional today. And don't forget to watch the explainer video to learn more about these valuable tax incentives.
As an architect owner, you always look for ways to optimize your business and maximize your resources. One area that you may not have considered exploring is tax incentives. Specifically, the Research and Development (R&D) tax credit and the Employment Retention Tax Credit (ERTC) can provide significant tax savings for your company.
The R&D tax credit encourages businesses to invest in research and development activities, contributing to innovation and growth. As an architect, you may not immediately think of yourself as a research and development company, but many of the activities you engage in can qualify. For example, if you are working on new building materials or techniques, designing green buildings, or developing software to support your work, you may be eligible for the R&D tax credit. The credit is calculated as a percentage of your qualified research expenses and can be used to offset federal income taxes.
The ERTC, conversely, is a tax credit introduced in response to the COVID-19 pandemic to encourage businesses to retain their employees. This credit can provide up to $7,000 per employee per quarter to businesses that meet specific criteria. If your business has experienced a decline in revenue due to the pandemic, you may be eligible for the ERTC.
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Together, these tax incentives can provide significant savings for your business. In fact, according to a study by the National Bureau of Economic Research, firms that claim the R&D tax credit experience an average increase in cash flow of $1.70 for every dollar of credit claimed. And for the ERTC, a recent survey found that over 50% of respondents said the credit helped them avoid layoffs or furloughs during the pandemic.
Here's a quote from an architect who has benefited from these tax incentives:
"As an architect, I never thought I would qualify for the R&D tax credit, but after speaking with my accountant, I realized that many of the activities we engage in on a daily basis are considered research and development. Claiming the credit has significantly boosted our cash flow, allowing us to invest in new projects and grow our business."
To qualify for the R&D tax credit, you must engage in activities that meet the following criteria: The activity must be intended to develop or improve a product, process, software, or formula.
The activity must be technical and involve the physical or biological sciences, engineering, or computer science.
Suppose your business may be eligible for the R&D tax credit or the ERTC. Working with a qualified tax professional who can help you navigate the process and maximize your savings is essential.
In conclusion, as an architect owner, you may not immediately consider yourself a research and development company. Still, many of the activities you engage in can qualify for tax incentives. The R&D?tax credit and the ERTC can provide substantial tax savings for your business, which can be used to invest in new projects, retain employees, and grow your business. So, don't miss out on these opportunities to optimize your tax strategy and take advantage of these benefits.
Contact? Kuya William Peetoom, City Commissioner, Health Ins. Agent (CA) ?| PH 619.843.1664 | www.TaxIncentiveRecovery.com?